Schneider Electric has agreed to acquire Cognite Holding B.V. in an all-cash transaction valued at US$3.1 billion, adding industrial data and AI software capabilities to its automation and energy management business.
The deal adds Cognite’s industrial data platform to Schneider Electric’s software portfolio, with technology used to connect operational technology data, enterprise IT systems, and AI applications.
The agreement covers 100% of Cognite’s share capital. Completion remains subject to customary closing conditions, including regulatory approvals, and is expected in the coming quarters.
IT/OT convergence
Industrial data can sit across plant equipment, control systems, engineering tools, maintenance platforms, and business applications. NIST defines operational technology as programmable systems or devices that interact with the physical environment, including industrial control, building automation, transportation, and physical access control systems.
Cisco’s 2026 industrial AI research found that 61% of companies are deploying AI, while 20% have scaled it across their operations. Its research also found that 57% of industrial organisations reported some level of collaboration between IT and OT teams, while 43% reported limited or no collaboration.
Cognite’s industrial data platform
Cognite develops cloud-native software for industrial data and AI. Its platform is designed to connect and contextualise operational, engineering, and enterprise data so industrial companies can use it across analytics, AI, asset management, and plant operations.
Industrial data is often stored across different systems and formats, including sensor readings, engineering diagrams, equipment logs, maintenance records, 3D models, and images. Cognite Data Fusion is designed to connect these sources and create relationships between previously separate data sets.
Schneider Electric said Cognite’s platform combines a unified industrial data model with agentic AI capabilities, allowing customers to apply AI within plant operations, asset management, and engineering workflows.
Cognite was founded in 2017 and has more than 800 employees across the Americas, Europe, the Middle East, and Asia-Pacific. Its products are used in asset-intensive sectors where operational data is often spread across plant systems, equipment, engineering tools, and enterprise applications.
Cognite’s technology includes Cognite Data Fusion and an industrial knowledge graph, which support data integration, modelling, and contextualisation. Cognite says the knowledge graph maps relationships between assets, systems, and data sources so users can work with connected operational information rather than separate data sets.
Cognite also offers Atlas AI, a platform that supports advanced modelling, generative AI, and agentic AI capabilities. Schneider Electric said these tools can support industrial workflows across plant operations, asset management, and engineering processes.
AVEVA integration
Cognite will be integrated with AVEVA after the transaction closes. AVEVA, which is wholly owned by Schneider Electric, provides industrial software used across engineering, operations, and asset management environments.
AVEVA describes CONNECT as a platform for bringing industrial data, applications, and workflows together across on-premises systems and cloud infrastructure.
The acquisition is intended to expand AVEVA’s CONNECT industrial intelligence platform. Schneider Electric said Cognite’s open architecture will allow industrial AI and analytics to work with data across the asset lifecycle and within customers’ existing technology environments.
Schneider Electric said Cognite’s technology will add data contextualisation and AI capabilities to AVEVA CONNECT. ARC Advisory Group said the acquisition strengthens AVEVA CONNECT by adding Cognite’s data contextualisation and AI capabilities.
After closing, Schneider Electric’s automation infrastructure, AVEVA’s industrial software, and Cognite’s data platform will sit under the same corporate structure.
IoT Analytics’ 2026 analysis placed the broader industrial digital technology market at US$176.9 billion in 2024 and projected an 11% compound annual growth rate over the next seven years. It said AI-driven applications and advanced analytics are expanding at more than 40% annually from a smaller base, compared with single-digit growth expected for core industrial hardware and established automation segments.
IoT Analytics’ 2026 OT cybersecurity research said AI integration and IT/OT convergence create new attack surfaces and are influencing areas such as hybrid security architectures, zero trust microsegmentation, firewalls, and controls for AI workloads in OT environments.
Transaction terms
Cognite reported annual revenue of more than US$170 million in 2025. The company also recorded 36% growth in annual recurring revenue bookings, supported by adoption of its Atlas AI platform.
Olivier Blum, CEO of Schneider Electric, said Cognite had built an industrial-grade AI platform that turns operational data into a business asset. He said the acquisition would strengthen AVEVA in industrial software and AI.
Blum also said Schneider Electric plans to combine its energy management and automation infrastructure with Cognite’s software and AI capabilities. He added that the deal would support the use of data and AI across Schneider Electric’s portfolio.
After completion, Cognite will be fully consolidated and financially reported within Schneider Electric’s Industrial Automation business.
(Photo by Homa Appliances)
See also: TXOne launches virtual OT inspection tool for industry
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